How do I file a case under the False Claims Act?

To disclose fraud under the False Claims Act (FCA), a whistleblower generally files a qui tam lawsuit in the name of the government.  Qui tam comes from a Latin phrase, “qui tam pro domino rege quam pro se ipso in hac parte sequitur,” which roughly translates to, “he who sues for the lord, the king, and for himself.”  

The FCA requires whistleblowers to file their lawsuits under seal, which means that no one knows about the suit other than the Court and the government.  When whistleblowers file suit, they must submit the complaint and a “written disclosure of substantially all material evidence” they possess to the Department of Justice. 

The Department of Justice initially has 60 days to investigate the allegations and decide whether to “intervene” and take control of the case.  The Department of Justice almost always requests and receives more time to investigate. 

Depending on the complexity of the case, the investigatory period can last for several months or even years.  During its investigation, the government can interview the whistleblower and issue “civil investigative demands” for documents, depositions of other witnesses, and additional information. 

If the Department of Justice decides to intervene, the whistleblower remains a party to the case, but the government has “primary responsibility for prosecuting the action.” Where the government declines to intervene, the whistleblower may litigate the case on the government’s behalf. 

After the government makes its decision, the case is unsealed, the defendant is served with a copy of the complaint, and the case generally proceeds through the same stages as other civil litigation.   

The FCA gives whistleblowers the choice of where to sue.  They can sue where a defendant resides, transacts business, or commits any prohibited act.  When deciding where to sue, whistleblowers should consider different factors such as the location of witnesses and evidence.

They should also consider the history and reputation of the U.S. Attorney’s Office.  Some offices are known for aggressively investigating certain types of misconduct.  For example, the offices in New York, Boston, and Philadelphia have brought many health care fraud cases.   

To learn more about the False Claims Act and other whistleblower programs, go to www.mololamken.com and follow us on LinkedIn.  “Brilliant lawyers with courtroom savvy” — Benchmark Litigation.  Copyright MoloLamken LLP 2023.